Editor’s note: This article was first published in May 2013, as a news piece from that month. The deal closed in December 2013, and MidAmerican Energy Holdings was renamed Berkshire Hathaway Energy in 2014.
As he said after buying Heinz, Warren Buffett was still looking for other “elephants” to hunt. That elephant turned out to be NV Energy, an energy company based in Nevada.
NV supplies electricity and natural gas to 1.3 million customers in Nevada. The purchase will be made through MidAmerican Energy, one of Warren Buffett’s companies, which will buy all the outstanding shares at $23.75 per share, putting the value of the deal at $10 billion.
MidAmerican Energy has been very active in 2013: it recently announced that it would invest 1.9 billion in wind farms.
The news sent NV Energy shares up more than 23% in after-hours trading, ending the correction NV had been going through on the stock market.
Further reading
- Why individual investors don’t get Buffett’s returns
- Warren Buffett’s 16 best pieces of investment advice
Featured image: Reliathon, CC BY-SA 3.0, via Wikimedia Commons.
